Dave W. writes, "How about a report on Discovery Labs ( DSCO) and your thoughts about the future... partner or buyout?" I've consistently recommended that investors avoid Discovery Labs until the company could prove capable of convincing the FDA to approve its infant lung drug Surfaxin. Surfaxin's chances for approval now appear to be dead, following a June 2 meeting between Discovery and the FDA. This was the company's third or fourth attempt at getting a Surfaxin approval (so many tries, I've lost track.) Discovery shares now trade below 40 cents, an all-time low. Is there anything to salvage from this disaster? Perhaps. The company has some underlying technology and second-generation products that may be of interest to a potential partner or acquirer. In some ways, Discovery reminds me of Encysive Pharmaceuticals, which also tried and failed repeatedly to get a drug approved but was eventually acquired by Pfizer ( PFE) for a dirt-cheap price. Discovery management has proven to be among the most inept in all of biotech, so let's hope someone there wakes up and just sells the company in a distressed asset sale. If that happens, perhaps the final the sale price will be higher than 40 cents a share.
David L. asks, "Could you do an update on where you would cut AMAG Pharmaceuticals ( AMAG) loose, or would you continue to add on weakness?"
I received two anti-Semitic emails Monday from the same person. Apparently, one hateful email wasn't enough, so this fellow followed up with a second just a minute or so later. From what I can gather, my stories on Cell Therapeutics and Hemispherx Biopharma ( HEB) were what prompted his response. I won't reprint the anti-Jewish slurs here. They were fairly pedestrian, nothing I haven't seen before. This may or may not surprise you, but anti-Semitism is alive and well in this country. And sadly, it appears to be on the rise, at least judging by the increasing amount of Jew-bashing email I receive. Is this due to Bernie Madoff? I'm not sure, all I do know is that I'm no longer surprised when I receive an email from someone expressing his disappointment that Hitler didn't finish the job he started. On a happier note, the guy who sent me the hate mail Monday isn't exactly a genius. I know this because he used his personal email address, which I was able to trace back to East Carolina University. It took me about 3 minutes to look up his real name using the school's online student directory.